supplychain
How does the supply chain work?

How does the process of shipment work? What are the different roles during this process? And what are their responsibilities.

Let’s take a look at what roles are involved and what are their duties. The main roles are 

  • Shipper
  • Freight broker
  • Truck driver
  • Dispatcher

Now, let’s talk about the duties of each one.

 

Shipper : Shippers manufacture products and are looking for loyal drivers & carriers to ship their products. Manufacturers have goods to be transported and they do face problems related to logistics & transportation.  In order to avoid this hassle, shippers are looking for brokers to find them the perfect equipment + driver to deliver their shipment.

Freight Broker : The backbone of the trucking business. Freight brokers are in touch with different shippers & manufacturers who are looking for a reliable way to transport their loads. Brokers act as the bridge between shippers and drivers. They keep the drivers’ fleet up & running on the road, providing them with the most profitable loads to deliver + removing the goods transportation problems a shipper may face.

Truck driver : Drivers are simply people who deliver the loads to their destination. There maybe independent drivers who drive their own trucks and manage their fleet, or they’re working for another trucking company. Either way, truck drivers need their vehicle to be delivering loads all the time to keep their business running. 

However, drivers may not be able to handle all the tasks, including :

  • Handling payments
  • Negotiating rates
  • Handling paperwork
  • Booking loads

In order for the drivers to keep delivering the loads + handling all other tasks, they require services of a ‘Dispatcher’.

Dispatcher : Just like Shippers face problems related to logistics and transport, Drivers may also face problems due to their busy schedule. A Dispatcher is in contact with the broker directly and acts on behalf of the driver to books loads, handle payments & paperwork, so the driver may focus on delivering the loads while the dispatcher handles the rest. In a way, a dispatcher is to driver, what a broker is to a shipper.

To sum up, this is how the cycle is completed. A Shipper contacts a broker, who is in contact with the dispatcher to assign the loads to a driver. The dispatcher books & assigns the load to the driver so the driver can transport the shipment.